Three Canadian lottery corporations have escalated a legal challenge over online player pooling to the Supreme Court of Canada, contesting a ruling that supported Ontario’s ability to link players with those outside the province. Manitoba Liquor and Lotteries, the British Columbia Lottery Corporation, and the Atlantic Lottery Corporation are seeking to overturn a November decision by the Ontario Court of Appeal.
Manitoba Liquor and Lotteries and the British Columbia Lottery Corporation are listed as joint appellants, while the Atlantic Lottery Corporation filed separately. Ontario Attorney General Doug Downey is the respondent in the case, formally titled “Atlantic Lottery Corporation, et al. v. Attorney General of Ontario.” His office declined to comment.
How the Dispute Reached the Courts
The appeal stems from a reference question heard by the Ontario Court of Appeal in early 2024. The court was asked whether Ontario could legally connect players in peer-to-peer games, including online poker and paid daily fantasy sports, with players in other jurisdictions. Ontario currently limits participation in those products to players physically located within the province.
Ontario’s attorney general, along with industry groups and operators, argued that pooled liquidity would remain legal if the games were conducted and managed in Ontario. The lotteries, supported by the Mohawk Council of Kahnawà:ke, argued that such arrangements would violate the Criminal Code because not all play would occur within provincial borders.
A majority of four judges agreed with Ontario’s position, while one judge sided with the lotteries.
Interpretation of the Criminal Code
In its decision, the appellate court examined Criminal Code language permitting a province “either alone or in conjunction with the government of another province, to conduct and manage a lottery scheme in that province, or in that and the other province.”
“The phrase ‘conduct and manage a lottery scheme in that province’ can be read narrowly to prohibit linking in-province gaming to gaming in foreign jurisdictions,” the judges wrote in the verdict. “However, a broader reading that permits provincial governments to enter into cooperative arrangements with foreign jurisdictions is also available. On our reading, the text favours this broader interpretation.”
The ruling was issued on Nov. 12, after which parties had 30 days to appeal. The Atlantic Lottery Corporation filed its notice on Dec. 10, and the Supreme Court case file opened on Dec. 18. The lotteries’ appeal reiterates that “in that province” should mean entirely within provincial boundaries, rejecting Ontario’s “real and substantial connection” argument.
What Comes Next
The Ontario court acknowledged that no operational model yet exists for international player pooling. Even so, iGaming Ontario President and CEO Joseph Hillier said the ruling highlighted future possibilities.
“I think the opportunities could be significant,” he said. “There’s definitely an eagerness to move things along as quickly as possible. But at the same time, it’s understanding where the true opportunities are. Peer-to-peer poker is something that people have spoken about, daily fantasy, maybe even super progressive jackpots on the casino side.”
The Supreme Court appeal now pauses further progress, leaving the future of cross-border player pooling unresolved.
Source:
“Canadian lotteries challenge Ontario player pooling decision in Supreme Court”, canadiangamingbusiness.com, December, 23, 2025
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